Simplot has been awarded a three-year contract worth A$16.5m by Australian retailer Woolworths to supply private label Select frozen vegetables.
The supermarket chain said that the deal will lead to production of an additional 5,100 tons of peas, onions, carrots, corn, green beans, broccoli, cauliflower and Brussels sprouts Simplot's facility in Devonport with some volume moving to Simplot's Bathurst plant.
The project requires 650 additional hectares of vegetables to be planted, and it will benefit 155 Australian growers.
With this deal, Woolworths has committed to source its Select frozen vegetables from Australia by May 2014.
The retailer currently stocks 39 lines of Select frozen vegetables, of which 11 are already Australian sourced.
The latest deal moves 17 lines to Simplot from overseas suppliers in Europe, New Zealand and China, while the remaining ten lines of Select steamed vegetables and stir fries which cannot be sourced in Australia will be retired.
In addition, Simplot will supply Woolworths Homebrand frozen peas for Victoria, South Australia and Tasmania from January 2014.
Woolworths and Simplot have collaborated to source all Homebrand peas across to being Australian sourced.